An unsecured card is essentially for someone with good credit, who the credit card company trusts enough to pay off their debt on a monthly basis. Unsecured credit cards are held by a majority of people, and tend to be the most desired option. It allows for the user to make purchases and pay it back in monthly increments set by the credit card company.

Secured credit cards, on the other hand, are for those with unsteady, erratic and unsatisfactory credit, who have a history of late or not forthcoming payments. With a secured card, the credit card company requires the amount desired to be deposited before the card is issued. Upon receiving the deposit, your credit line is established for that amount. The deposit acts as a safety net, and if payments are not made, the company will take payment from your original deposit.
Unsecured cards do not require a deposit, and the consumer is allowed more freedom with spending and repayment. If the payments are on time, the limit allowed will be increased if desired. If, however, payments are not paid on time, credit card companies will continue to add additional late charges, as well as a certain amount of interest that also must be repaid. The interest varies, but can be as low as single digits and as high as 20% on your outstanding debt.

Pre-approved is another term used to lure in new credit card customers. Credit cards must always be applied for, and involved with this is a listing of the applicant's occupation, income, other debt and similar factors. Once the application is submitted, the credit card supplier will examine the numbers and decide if you will be able and likely to repay your credit card purchases.

Pre-approved means the credit card company has obtained your credit score from a credit bureau such as Equifax and Transunion and already is aware of your good credit. You do still have to go through an application process, and the credit line advertised is not necessarily what you will get, but there is a better chance of being approved in this method than simply applying blindly for a credit card, in general.

Almost no one is turned down! That's right. If you've gone through the embarrassment of rejection by your local bank or credit union, and are afraid to try again, this is your best chance to enjoy all the benefits and responsibilities of a credit card, without fearing the application process.

The reason?

For starters, the application is completed online, without ever having to discuss your financial situation with another person. In fact, YOU set the credit limit based on your own ability to secure the credit card through a cash deposit. Isn't that nice?

Below is a list of Banks and Credit Unions where you can apply for a Secured Credit card.

Capitol One Secured Card

With a secured card you're given credit, just as you would with any credit card, but you're also required to provide security funds before you can access your credit. These security funds could be as low as $75. Also, we report your payment information to the credit bureaus each month, giving you the ability to build your credit history. Capital One Guaranteed Secured MasterCard is a great way to build your credit history and start enjoying the benefits of a credit card. Rent a car, reserve a hotel room, and buy things online. It's all possible when you have a Capital One Secured card.

The Home Trust Secured Visa

Is a credit card that requires a security deposit for eligibility? Your credit limit is then set at the amount of the deposit. You can put down as little as $1,000, or as much as $10,000.

Vancity Savings Secured Visa

I've recently immigrated to Canada and don't have a credit rating yet. How can I get one?

Consider applying for a Vancity Secured Visa card. With as little as $500, you can get a Secured Visa that will allow you to obtain credit. By putting some money in a term deposit, you guarantee your debt and we can extend you credit. After you've had the card for one year and have made all of your payments on time, we'll release the guarantee and you can spend or save your money. You'll also have an improved credit rating. To apply for a Vancity Secured Visa card, visit any Vancity branch.

Horizon Plus Secured MasterCard

Has opened the doors to virtually all Canadian residents wishing to have a credit card. Specifically designed for those people who do not qualify for traditional unsecured cards

HSBC Secured Master Card

Even though you have bad credit or no credit, you may still qualify for a major credit card. Here's how it works: you put a certain amount of cash (say $1,000) in a frozen bank account for security, and the bank issues you a credit card with a similar credit limit. Talk to a customer service representative at your financial institution for more details.

Remember when applying for these credit cards you do not need a Social Insurance Number! Please also remember that offering up your social insurance number to financial institutions is not required by Canadian Law. The only people who should have your Social Insurance Number is your employer, Human Resources and Social Development Canada and Revenue Canada. This is a private number established for tax purposes only! Don't give this number to any bank as it's not required. You will notice when applying online when a financial institution asks for your SIN number it's not mandatory because they know under Canadian law their not entitled to have it.

For more information about Car Leasing for New Immigrants or Foreign Students in Canada visit www.autosourcefinancial.com. Auto Source specializes in all makes leasing and Car, Truck and SUV loans for people with No Credit, Bad Credit in Canada.

Americans are know all over the world for being reckless in their spending and they have proved it time and again by failing to pay their home loan EMIs or by accumulating high unpaid balances in their credit card. Many Americans have lost their homes that were mortgaged to financial institutions and millions have received recovery notices from credit card companies for their inability to pay high interest every month. Credit card balance transfer, a new promotional gimmick by credit companies, has come as a boon for such individuals. This is a ploy used by companies to bring more customers to their fold though in the process, customers reeling under debt trap get big relief in the form of interest payment.

Know the high price of fiscal imprudence

Suppose you are running a balance of 000 in your credit card and being forced to pay high amount of money in the form of interest every month (higher the APR, higher the interest you are required to cough every month). Imagine paying 0 for nothing. This is a situation many find themselves under when they go on buying products using their credit cards without keeping in mind their repaying capacity. Credit card balance transfer brings great relief to such people as all their balance gets transferred to a new plastic that charges ridiculously low interest (sometimes even no interest at all for an introductory period). However, one must be alert before accepting balance transfer offer and must read the terms and conditions carefully so that he doesnt fall in a trap set for him.

Companies like customers who forget to pay on time

Companies in the business of providing credit through credit cards issued by them are always in search of new customers. This has made them find new categories of customers. It must be understood that credit card companies are in the business because of people who forget to pay in full by the stipulated period. This allows these companies to make profit by forcing people to cough up heavy interest on unpaid balance. Companies do not like people who make their payments timely all the time. Rather, their business flourishes only because of people who falter on their due payments.

People have become so habitual of credit cards that they just cannot live without them. They are used to buying products using money provided by card issuers and though people are not dishonest, they somehow forget that they need to repay the money lent to them within the stipulated period. They are made to pay for their folly by forcing to pay high amount of money in the form of interest every month. Credit card balance transfer is the only option left for such people.